Have Sprinklr Insiders Been Selling Stock?

Some Sprinklr, Inc. (NYSE:CXM) shareholders may be a little concerned to see that the President, Rory Read, recently sold a substantial US$1.9m worth of stock at a price of US$7.48 per share. That's a big disposal, and it decreased their holding size by 12%, which is notable but not too bad.

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Sprinklr Insider Transactions Over The Last Year

In the last twelve months, the biggest single sale by an insider was when the Independent Director, Neeraj Agrawal, sold US$4.4m worth of shares at a price of US$8.76 per share. While we don't usually like to see insider selling, it's more concerning if the sales take place at a lower price. The good news is that this large sale was at well above current price of US$7.55. So it may not shed much light on insider confidence at current levels.

Insiders in Sprinklr didn't buy any shares in the last year. The chart below shows insider transactions (by companies and individuals) over the last year. If you want to know exactly who sold, for how much, and when, simply click on the graph below!

See our latest analysis for Sprinklr

If you like to buy stocks that insiders are buying, rather than selling, then you might just love this free list of companies. (Hint: Most of them are flying under the radar).

Insider Ownership

I like to look at how many shares insiders own in a company, to help inform my view of how aligned they are with insiders. We usually like to see fairly high levels of insider ownership. It's great to see that Sprinklr insiders own 20% of the company, worth about US$356m. Most shareholders would be happy to see this sort of insider ownership, since it suggests that management incentives are well aligned with other shareholders.

What Might The Insider Transactions At Sprinklr Tell Us?

Insiders sold Sprinklr shares recently, but they didn't buy any. And there weren't any purchases to give us comfort, over the last year. But since Sprinklr is profitable and growing, we're not too worried by this. It is good to see high insider ownership, but the insider selling leaves us cautious. So while it's helpful to know what insiders are doing in terms of buying or selling, it's also helpful to know the risks that a particular company is facing. For example, Sprinklr has 2 warning signs (and 1 which doesn't sit too well with us) we think you should know about.

If you would prefer to check out another company -- one with potentially superior financials -- then do not miss this free list of interesting companies, that have HIGH return on equity and low debt.

For the purposes of this article, insiders are those individuals who report their transactions to the relevant regulatory body. We currently account for open market transactions and private dispositions of direct interests only, but not derivative transactions or indirect interests.

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.